As previously reported in GlobeSt.com on July 23rd, E&H, owned by local Eugene Horbach, filed a $100-million suit against DPR Construction Inc., the project's general contractor. Work on the tower at 333 108th Ave. NE came to an abrupt halt this May when E&H failed to make a scheduled $2.47-million payment to DPR. The contractor has since filed liens against the project totaling $8,845,047.
E&H's rests its claims for damages on the allegations that DPR's lien was grossly inflated, was in retribution for Horbach's request for an audit of the project and significantly hurt the project's chance of gaining financing.
DPR's Answer filed in King County Superior Court on July 27th not only rebutted E&H's complaints but pulled a number of the project's subcontractors into the legal maneuvering via Third-Party Complaint. Those third-party defendants are TTBL, LLC, Cochran Inc., J.R. Hayes & Sons Inc., Donald B. Murphy Contractors Inc., Hope Cement Finishing Inc, and Harris Rebar Seattle Inc., all of which are local companies. GlobeSt.com was unable to reach on deadline any of the parties now involved.
The Answer, Counterclaim and Third-party Complaint, a copy of which was provided to GlobeSt.com by a DPR spokesperson, states among its own numerous allegations that "Plaintiff (E&H) has failed to comply with contractual prerequisites to filing of this suit." It further reads, "Some or all of Plaintiff's alleged damages have been caused by Plaintiff, Plaintiff's agents, or third parties... ."
In a written statement released yesterday, DPR says that it and its subcontractors have "carried the project without payment for 90 days on two separate occasions. On each occasion... E&H Properties was notified that work would stop until financial obligations, as outlined in the contract, were met, and... both short- and long-term financing (were) secured." The contractor also says it has not received notice that E&H has secured the financing necessary to keep the tower's completion viable.
On one hand Arne Hall, DPR's Seattle-based regional manager says, "We feel this is a great project and would like nothing more than to see it completed." On the other, DPR's frustration is clear,"...we have not been paid for nearly four months, which leaves DPR and our subcontractors no choice but to stop work on the project."
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